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Education, experience, social network and firm survival: the case of the electrical fittings cluster in Sargodha, Pakistan

  • Sana UllahEmail author
  • Muhammad Tariq Majeed
  • Muhammad Hafeez
Research Article
  • 26 Downloads

Abstract

In modern era of industrialization, firm survival is widely acknowledged and geared through industrial cluster in developing countries. The present study unfolds the impact of education, experience and social network on firm death by using two rounds of electrical fittings cluster survey from 2008 to 2017. The empirical outcomes from Cox PH model spotlight that entrepreneurs are relatively more educated, rich in experience of production and marketing, have low hazard rate in their business. The empirical analysis also revealed that firm survival can be achieved through strong social network of entrepreneur. The study findings infer that Small and Medium Enterprises Development Authority and United Nations Industrial Development Organization training programs are needed to focus on cluster entrepreneurs and sustained firm survival.

Keywords

Industrial cluster Firm survival Human capital Social capital Pakistan 

JEL Classification

I20 J24 L26 M21 

Notes

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Copyright information

© Indian Institute of Management Calcutta 2019

Authors and Affiliations

  • Sana Ullah
    • 1
    Email author
  • Muhammad Tariq Majeed
    • 1
  • Muhammad Hafeez
    • 2
  1. 1.School of EconomicsQuaid-i-Azam UniversityIslamabadPakistan
  2. 2.School of Economics and ManagementBeijing University of Posts and TelecommunicationsBeijingChina

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